Sopheon Share Discussion Threads

[pj 1] 22/3/2017 09:16

Yo-Yo? After a stellar rise the stock is consolidating which imo is actually a positive sign. You claim its yo-yo-ing which you are sick of yet the stock is just 8% from its recent all time highs?

What do you expect? It to go up in a straight line forever?

No doubt it will get much more rocky than this in the future.

[kryptonsnake] 22/3/2017 09:04

Would be good, depends how much spare cash we've got.

[runthejoules] 22/3/2017 08:54

I hope they introduce a dividend. I'm sick of this yo-yo.

[kryptonsnake] 22/3/2017 08:21

Flying back down again! Results tomorrow should see this well past £5.

[kryptonsnake] 21/3/2017 14:31

Flying back up now!

[trinko] 21/3/2017 14:05

I think it will be between 35-40 pence. I said that before the update!
Thursday i will see, if i am wright with myself:-))

[wjccghcc] 21/3/2017 14:01

trinko, those forecasts have been raised after the trading statement. They'll probably beat that by a bit anyway.

[samsj] 21/3/2017 13:43

Regarding takeover, see my question on stockopedia. Did anyone ask the company about the DevFactory buying in 2015 and Eswcapital. I'm sure it's been discussed before but would appreciate any info. Also, as I understand Barry Mence owns AT LEAST 1.5 million of 7.5 million shares and he and directors were buying quite aggressively? Why would they do anything that risked tanking the share price? If I u derstand correctly they have considerable skin in the game, hence the postponing of the loan stock?

[dontshoutatonce] 21/3/2017 13:43

Agreed Trinko, by the quality of the company and its performance.

[trinko] 21/3/2017 13:33

But they said earrings would be significant above forecast but how much? And if they have a positive outlook, Price will go further up in my opinion!

Is no advice!!!

[wjccghcc] 21/3/2017 12:40

Forecasts are for 33 cents compared to 18.3c for H1 as they stepped up hiring in H2. The interesting part will be to see what FY17 visiblity is vs the $12mm at this time last year.

[varies] 21/3/2017 12:13

PS
I see that some of us are expecting EPS of c.36p.
My feeling is that these will be much reduced by dilution from the Convertible Stock and profit-sharing.

[varies] 21/3/2017 12:09

Runthejoules & bahiflyer
Thanks for your friendly words.
I have now sold the last of my shares and await tomorrow's figures with interest.
One of my largest holdings is in IQE which announced rather unexciting results this morning. The shares had come up from 20p to 54p over the last year and fell 15% first thing this morning. They had recovered most of this by 11am.
I suspect that we will see a similar performance from SPE tomorrow unless the results differ greatly from what most of us expect, say EPS of 25/30p.
We shall see !

[bahiflyer] 21/3/2017 09:58

Taking a profit is never a bad idea, especially as you got in so early. Its all about timing and mine used to be lousy. Would either leave it too long or get out too soon.

One thing I do always do now is at least leave a percentage of my originals in when its a share that still has a lot of potential.
This one still has plenty to go so not sure you'll get much cheaper.
Good luck anyway.

[runthejoules] 21/3/2017 08:21

Yep varies don't blame you I wish I'd sold mine at 510, having come in at 450 (too high!) but was waiting for results. Mind you, I've seen bamboo2 succeed on
Other boards & given the spread am
Going to hang on for long term prospects. Anyone care to speculate on whether Sopheon might be a potential acquisition?

[varies] 20/3/2017 17:16

Having struck lucky and bought SPE below 100p less than a year ago, I have decided not to tempt Providence any further and have sold almost all my shares at an average, I suppose, of c350p.
One should run one's winners, I know, but I have often suffered in the past through sticking too closely to this principle. I feel that there will be a fair amount of profit-taking in SPE after this week's results, no matter how good these are.
We must also allow for heavy dilution from the Convertibles and generous bonuses for the top executives which I do not grudge them.
I hope to buy some of my shares back lower down in April or May. If the price goes on up, I shall console myself with the thought that my modest sales have enabled others to enjoy the party !

[bamboo2] 20/3/2017 16:34

Bought another 500 this afternoon.

[bamboo2] 20/3/2017 11:04

trinko, Early days yet, probably best to see how it looks later in the week!

I have started averaging in and will buy another 2 or 3 lots, if possible.

[trinko] 20/3/2017 10:56

Bamboo exactly as you told:-))

Nice work

[kryptonsnake] 20/3/2017 09:13

This is starting to look a little cheap again. Could do with a bounce!

[trinko] 19/3/2017 20:46

Fair value for last years earnings! And if the forecast is very good 10 Quit looks even cheap in my opinion.

This is not an investment advice , but my opinion.

Good luck everyone

[allstar4eva] 19/3/2017 16:16

Good posts guys. So £10 could be seen as fair value?

[bahiflyer] 19/3/2017 14:13

Hi Trinko I was really just giving an example of the turnaround and potential for growth.
I think we will know more when the results are out, but the last trading update was very telling.

Turnover slightly ahead of forecast but profits significantly ahead.
That tells me they've reached that point where costs are more or less covered now so any revenue increases go mainly straight to the bottom line as profit.

After all they aren't a manufacturing company where increased sales mean you need an increase in workforce, more machinery, more warehousing, more raw materials to buy in, etc.

Thats why software companies of this size have that potential for explosive growth, once you have reached saturation point on your costs, 80% of anything extra is mostly profit.

Looking forward to Thursday.

[trinko] 19/3/2017 11:45

Hello bahiflyer, the sector PE is 28, which could be seen as reasonable! If 36p is the figure, 550 is a PE of approximately 15. So, there is a potential upwards.

[bahiflyer] 19/3/2017 10:03

I expect there'll be quite a move forward come results on Thursday.
If you look at the last two half years results, ie H2 of 2015 & H1 of 2016 the combined Pre Tax Profit was £2.65M with basic EPS of 36p. (all dollar amounts were multiplied by 0.8)

I know they will have to start paying some tax with past losses used up but that should be more than compensated for by the growth potential.
Yes there is a possible dilutive effect of the loan notes to consider (approx 2.8M shares) but they have plenty of cash and the holders are in no rush to convert as they have extended the time table.

One other thing Sopheon do which is quite conservative compared to most other companies is they dont add back the amount for amortisation and depreciation which would then give an adjusted profit and adjusted EPS figure.
If they did that, interims alone would give earnings of £2.2M and eps of 30p.

Add to that a positive outlook for 2017 with the new accolade issues being well recieved and I think your 550p target will be more than easily met Bamboo.
What would a reasonable PE ratio be for as dynamic a company as this?